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Top message:  It has been Confirmed to me, VERIZON IS BUYING USCC by nonmeatgazer   Aug 23, 2007, 2:12 PM

Replying to:  Re: It has been Confirmed to me, VERIZON IS BUYING USCC by wireless expert   Jan 27, 2008, 2:15 AM

Re: It has been Confirmed to me, VERIZON IS BUYING USCC

by dave73    Jan 27, 2008, 2:45 PM

wireless expert said:
I would be interested hearing what your friend is saying now. I have been in the wireless business for a very long time and have information about both carriers. This is how I see it. I believe that a buyout of US Cellular is not only possible but probable. Verizon has a new internal slogan "Best to the Biggest" this year! Verizon is very strong in the East and West, but they need to fill in the Mid-West. That is where US Cellular comes into play. US Cellular is very strong in the Mid-West. US Cellular since your post was posted has stopped many of their plans to continue building out the licenses that they have anticipated building out for several years to include Springfield, MO. Due to the fact that penetration rates are so high and that they are really struggling in the Metro areas that they have launched the last few years to include St. Louis, Chicago, and Oklahoma City (Their words not mine.). Yes Verizon wants to take the top spot again but they also need US Cellular's CDMA network too to fill in the Mid-West. Do the math US Cellular 6 million customers -vs- Verizon 63 million customers. As Verizon starts to move into more of the rural areas that US Cellular has dominated for years it will start to diminish USCC's profits. Now the ball is ultimately in TDS's and the Carlson family's court. Due to the fact that they own 80% of the public traded stock of US Cellular. I also would not put it past Verizon to buy TDS and US Cellular since they are in both the land line and wireless business.


It's anyone's guess as to when USCC will be acquired. But if Alltel decides to stay in this should they acquire some much needed 700 band licenses; then if USCC sells, USCC would give Alltel some additional coverage to the midwest, and allow them to enter Chicago, Rockford, Peoria, and I believe Springfield in Illinois. For Wisconsin the big markets would be Milwaukee, Madison, & Green Bay, but Appleton would be divested, along with the A side west of the Madison market. For Indiana, it's whatever PCS network was built out in Northern Indiana, plus the 8-12 rural counties where USCC has the B side. It doesn't matter if Verizon or a luck of the draw Alltel acquires USCC, there will be divestures.

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